From Finextra –
“Barclays has been slapped with a $150 million fine by New York State’s financial regulator and told to fire an employee over an automated system used to reject unprofitable client orders on its electronic foreign exchange trading platform.
Barclays employed a system called 'Last Look' on its FX trading platform which placed a milliseconds-long hold period between a client placing an order and it being executed by the bank.
The delay was designed to be a defensive bulwark against high-frequency traders using their more nimble systems to outflank market makers like Barclays and acting on price information with "toxic flow" orders”.
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